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NATH

Nathan's Famous, Inc.

NATH

Nathan's Famous, Inc. • NASDAQ
$92.26 ▲ 0.58% (+0.53)
Market Cap $377.30 M
52w High $118.50
52w Low $75.15
Dividend Yield 1.50%
P/E 16.62
Volume 63.10K
Outstanding Shares 4.09M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q2-2025 $45.687M ▼ $3.688M ▼ $5.199M ▼ 11.38% ▼ $1.27 ▼ $7.996M ▼
Q1-2025 $46.998M ▲ $3.95M ▲ $8.928M ▲ 18.997% ▲ $2.18 ▲ $13.243M ▲
Q4-2024 $30.787M ▼ $2.571M ▼ $4.235M ▼ 13.756% ▼ $1.04 ▼ $6.947M ▼
Q3-2024 $31.519M ▼ $4.205M ▲ $4.484M ▼ 14.226% ▼ $1.1 ▼ $7.119M ▼
Q2-2024 $41.109M $4.059M $6.03M 14.668% $1.48 $9.787M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q2-2025 $32.175M ▲ $62.867M ▼ $68.77M ▼ $-5.903M ▲
Q1-2025 $26.867M ▼ $63.436M ▲ $72.778M ▲ $-9.342M ▲
Q4-2024 $27.802M ▲ $53.476M ▲ $69.989M ▲ $-16.513M ▲
Q3-2024 $23.711M ▼ $48.723M ▼ $67.714M ▼ $-18.991M ▲
Q2-2024 $31.207M $57.703M $78.987M $-21.284M

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q1-2025 $8.928M ▲ $-220K ▼ $-115K ▼ $-600K ▲ $-935K ▼ $-335K ▼
Q4-2024 $4.235M ▼ $6.79M ▲ $-54K ▼ $-2.645M ▲ $4.091M ▲ $6.736M ▲
Q3-2024 $4.484M ▼ $3.624M ▼ $-41K ▲ $-11.079M ▼ $-7.496M ▼ $3.583M ▼
Q2-2024 $6.03M ▼ $9.833M ▲ $-89K ▼ $-4.516M ▼ $5.228M ▲ $9.744M ▲
Q1-2024 $9.277M $4.993M $-41K $0 $4.952M $4.952M

Revenue by Products

Product Q3-2024Q4-2024Q1-2025Q2-2025
Advertising Fund Revenue
Advertising Fund Revenue
 $0 ▲$0 ▲$0 ▲$0 ▲
Branded Products
Branded Products
 $20.00M ▲$20.00M ▲$30.00M ▲$30.00M ▲
Companyoperated Restaurants
Companyoperated Restaurants
 $0 ▲$0 ▲$0 ▲$10.00M ▲
Franchise
Franchise
 $0 ▲$0 ▲$0 ▲$0 ▲
Franchise Royalties
Franchise Royalties
 $0 ▲$0 ▲$0 ▲$0 ▲
License
License
 $10.00M ▲$10.00M ▲$10.00M ▲$10.00M ▲

Five-Year Company Overview

Income Statement

Income Statement Nathan’s has shown steady, healthy growth over the past five years. Sales have climbed meaningfully from pre‑pandemic levels, and profits have risen even faster than revenue. Profit margins look strong for a restaurant business, helped by the high‑margin licensing side of the company. Earnings per share have grown well as the business scaled and stayed disciplined on costs. Overall, the income statement reflects a relatively small but consistently profitable company with improving performance over time.

Balance Sheet

Balance Sheet The balance sheet is unusual but telling. Total assets have come down as the company has paid off most of its debt and stayed very light on physical investment. Cash remains a large portion of total assets, suggesting a conservative, liquid position. Shareholders’ equity is still negative, which can stem from past leverage and generous dividends or buybacks rather than operating weakness. The key story: much less debt than a few years ago, plenty of cash relative to the company’s size, but a capital structure that screens as aggressive on paper because of the negative equity.

Cash Flow

Cash Flow Nathan’s generates solid, reliable cash flow from operations that has grown over time. Because the business model is asset‑light, it spends very little on capital expenditures, so most operating cash flow effectively becomes free cash flow. This gives the company flexibility to pay dividends, reduce debt, and potentially invest in brand and technology without straining finances. The cash flow profile is a major strength, though it still depends on the stability of licensing and restaurant demand.

Competitive Edge

Competitive Edge The company’s main edge is its brand: more than a century of history, strong associations with Coney Island and Americana, and the widely publicized hot dog eating contest. Nathan’s is not trying to win by outbuilding restaurants; instead it leans on franchising and licensing, especially its supermarket hot dog and frozen foods presence via a major partner. This creates a diversified revenue base that is less exposed to day‑to‑day traffic at any single location. However, it remains a niche brand in a highly competitive restaurant and packaged food market, and it is reliant on key partners and continued brand relevance to sustain its moat.

Innovation and R&D

Innovation and R&D Nathan’s focuses its “innovation” more on business model and technology than on traditional R&D. It has modernized ordering and payments with updated point‑of‑sale systems and self‑service kiosks, uses data and software to help franchisees manage costs, and has leaned into delivery‑only kitchens to expand reach without heavy capital investment. On the product side, it has broadened the menu with burgers, chicken concepts, and a plant‑based hot dog, and extended the brand further into grocery items. Digital marketing, including AI‑driven campaigns and targeted local advertising, aims to keep the brand visible despite its small size. These initiatives suggest a deliberate effort to keep a legacy brand current without overspending.

Summary

Nathan’s Famous looks like a small, focused company that has turned a powerful legacy brand into a high‑margin, cash‑generative, asset‑light business. Revenue and profits have grown steadily, debt has been reduced sharply, and free cash flow is strong relative to the company’s size. At the same time, the negative equity position and shrinking asset base underline a capital structure that is not as conservative on paper as the low debt might suggest. Strategically, the company leans on licensing, franchising, and technology rather than rapid store build‑outs, which reduces risk but also limits its physical footprint compared with larger chains. The key uncertainties lie in continued brand strength, partner relationships, and the company’s ability to keep its offerings and marketing fresh in a very crowded restaurant and packaged food landscape.

NEWS

November 6, 2025 · 6:30 AM UTC

Nathan's Famous, Inc. Reports Second Quarter Results

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